Meridian Hedged Equity Fund highlighted RPRX’s performance amid broader market declines and sector rotation in Q1 2026.
Royalty Pharma plc (RPRX) closed at $56.23 on June 26, 2026, reflecting a $32.38 billion market capitalization, as the biopharmaceutical royalty investor outperformed peers. The stock rallied following Q1 2026 earnings that exceeded market expectations, drawing attention from funds like Meridian Hedged Equity.
The S&P 500 fell 4.33% in Q1 2026, while the CBOE S&P 500 BuyWrite Index declined 0.92%. Meridian Hedged Equity Fund returned 0.08% net, benefiting from a 43% unhedged portfolio allocation and defensive positioning amid geopolitical tensions and reduced Fed rate cut expectations.
Investors rotated toward smaller companies and defensive sectors, pressuring large-cap tech stocks. RPRX’s gains stood out as energy and value sectors outperformed during the period.